ABSTRACT
This chapter describes how private-sector services are being mobilised to deliver water and waste-water services by water-sector organisations in the developed economies to countries with economies that are in a developing phase. It examines how the water sector is evolving, as new companies shape their financial and technical competence to operate and compete internationally. The chapter outlines the potential for private-sector participation to play a part in ensuring universal provision of water and sewerage services for urban areas in developed and developing economies on an affordable basis. Assurance of cost recovery in the medium to longer term is essential, and it is vital to get the cost of service provision down to affordable levels by using an appropriate and upgradeable infrastructure. Cross-subsidies and social provisioning lie at the core of service extension, with water and sanitation services being provided for less than 2% of household income in 85% of projects funded by the World Bank or Asian Development Bank.
